Legally Never Pay Back Your Credit Card Debt - How to Legally Eliminate Your Credit Card Debt

Let us take a look at some credit card debt the reduction tools before checking out legal solutions that will help you eliminate your credit card debt in full. Credit card debt consolidation loan will help you consolidate the numerous credit cards you have obtained. Rather than making more than a dozen repayments in a single month and deal with twelve different due dates, you just have to make a single repayment to a single lender and your problem would be solved.

Since you would be repaying the existing debt with the help of the consolidation loan that you have obtained, lenders will be prepared to offer a discount. This does not range more than five to ten percent of the amount owed. Conversion of the unsecured loan into a secured loan is one option that will help you reduce the extent of pressure imposed by unsecured lenders. Once the loan is secured, the repayment will be made out of the asset that has been mortgaged in event of a bankruptcy. The lenders maybe reduce the value of the amount owed to encourage you to opt for this choice.

However, as you may have noticed, none of the options described about actually lead to any significant reduction in debt. In fact, the second option actually puts you at a disadvantage as the amount owed is converted from unsecured into secured debt. At best, you will save on interest. At worst, you will be back to square one and you will have no benefit out of your debt relief measures.

This is where debt settlement enters the picture and makes a huge difference. First and foremost, thirty five to sixty percent of the amounts owed will be waived. No questions asked. No conditions imposed. The waiver shall be absolute and shall form a written contract between you and the lender.

Once you have the written contract signed, you need not repay the amount waived again. You just have to repay the balance amount. Normally, this money is deposited in an escrow account which is held in trust on behalf of the credit card issuer or other unsecured lender. You can use this for money to settle the debt in lump sum.

The amount that you save and the benefits that you enjoy with the money that you have saved result in a virtual zero repayment to the lender. Since you save more than fifty percent and earn interest on the amount that you saved, you might as will claim that you have repaid the debt without making any payment whatsoever.

If you are over $10k in unsecured debt it would be financially prudent for you to consider a debt settlement. There are organizations that exist called "Free Debt Relief Networks" that are a great place to start in locating legitimate debt settlement companies in your region. They provide free debt help and know where to locate the top performing debt settlement firms. To get free debt help check out the link below: